Power tariff revision inevitable
Power tariff revision inevitable
Part of effort to improve the quality of service in State, says TANGEDCO chairman Rajiv Ranjan...

CHENNAI: Stressing that a comprehensive tariff hike was not effected in the State in the past decade despite spiralling input cost, including coal, Tamil Nadu Genera-tion and Distribution Corporation (TANGEDCO) Chairman Rajiv Ranjan on Monday said consumers should prepare themselves for a reasonable rise in tariff.Replying to queries and views of participants at a public hearing here, Ranjan said people in other states had become accustomed to hike in electricity tariff as it is done annually. The National Appellate Tribunal for Electricity had mandated the power entities to file tariff petitions every year.“Consumers should prepare for a reasonable hike. A comprehensive hike is inevitable. It should be noted that in the previous decade (1990-2000) tariff was hiked eight times,” he said.On under-recoveries, he said it was not only due to segments like farm or hut: “It must be remembered that under-recoveries happen even in industrial supply. The supply there too is below the cost.”Defending the power purchase — the cost of which ranged from `1.85 to `10 per unit — he said the cost was determined by the type of fuel used and it could not be said that a higher price was paid by the TANGEDCO.Arguing that a revision was essential, Ranjan said it was needed to improve the quality of service and to enable the power behemoth to make a turnaround.He dismissed allegations that the TANGEDCO was favouring the MNCs. “Any firm that invests over `350 crore in the State gets uninterrupted power supply. There is no question of favouring anyone. Such incentives are needed for the progress of our State,” he said.

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